Oil and the Loonie

May 30, 2009.

Here is a site that not only indicates the current oil price but also forecast for one year hence.

The forecast is $77 in one year. This will mean gas prices should continue to move upwards.

Another reason gas will increase in price is oil reserves are being depleted at a rate of about 9% a year.

Another reason gas will increase is Chindia's insatiable desire to store oil.

Good reasons to consider a hybrid as your next car.

The loonie is increasing too quickly due to lack of confidence in the USA dollar (and the fact the USA is printing more money - should automatically deflate the value). This increases cost of our exports to our main trading partner and will probably increase the $50B deficit Flaherty indicated earlier in the week. WE NEED LESS DEPENDENCY ON THIS TRADING PARTNER.

On the other hand, it puts more money in our pockets and will, in the opinion of many, drive prices down ... which is also good for you and me.

It is difficult to sacrifice our benefits for the good of corporate Canada...

Can anyone explain why the price of gas does not come down when the loonie goes up?